Sunday, November 18, 2018

According to Google's New Report : Southeast Asia’s digital economy to triple to $240 billion by 2025

It may be overshadowed by China and India, but tech has real growth potential in Southeast Asia. Home to a cumulative 650 million people, the region’s digital economy is forecast to triple in size and reach $240 billion over the next seven years, according to Google’s third “e-Conomy SEA” report.

The annual study, which is authored by Google and Singapore sovereign fund Temasek and is arguably the most comprehensive research program for tech in Southeast Asia, has raised its estimation for the size of the digital economy in 2025 from an initial $200 billion after seeing the region reach “an inflection point.”

Online travel accounts for the majority of that revenue ($30 billion) ahead of e-commerce ($23 billion), online media ($11 billion) and ride-hailing ($8 billion), and that rough breakdown is likely to be maintained up until 2025, according to the report.

Indonesia, the world’s fourth largest country by population, is forecast to hit $100 billion by 2025, head of Thailand ($43 billion) and Vietnam ($33 billion) with strong growth forecast across the board. Indonesia and Vietnam, in particular, have seen their respective digital economies more than triple since 2015, according to the data.